Computer Sciences shells out $97.5 million to settle suit

Computer Sciences Corp. has agreed to fork over nearly $100 million to settle a shareholder lawsuit.

The case centers on a complaint shareholders made last year, claiming the information technology company hid a variety of accounting problems. The suit, led by the Ontario Teachers’ Pension Plan Board, said the problems related to a $5.4 billion contract Computer Sciences had with the National Health Service (NHS) in Great Britain. The company took a $1.5 billion write-off related to the NHS contract.

The settlement announcement comes just in time. The case, which sought class action status, was set to go to trial early next week.

A judge still needs to approve the agreement. That preliminary approval has been set for May 24. Read more about this story on Thomson Reuters.